Without question, a startup lawyer’s skills and knowledge can benefit the founders of a business. In fact, not including a lawyer as part of your startup team is just asking for problems down the line.
Today, we’ll discuss the importance of including a startup lawyer on your team, the tasks they take care of, and the advantages of taking this all-important step.
Suppose you’re telling yourself your business simply cannot afford to engage legal help due to limited resources or other reasons. In that case, we’ll explore the reasons you keep telling yourself for not hiring a lawyer, too.
(If you want to dive even deeper into legal considerations for startups, grab a copy of my book here)
Let a Startup Lawyer Do What Lawyers Do
There’s an old saying: Don’t quit your day job!
In this case, keep running your startup and let your lawyer do what they do best: vital tasks like preparing legal documents and reviewing contracts.
Many startup founders think they can look up the law online or use templates that provide generic advice, but a good lawyer will go beyond merely preparing legal documents. Instead, they’ll ensure an agreement is valid and binding by meeting all legal requirements.
Here’s another post you won’t want to miss next: How to Avoid Litigation as a Startup: 11 Tips.
An expert set of eyes
We cannot stress the importance of a lawyer reviewing your legal documents enough. And in the case of startups, the stakes are even higher.
A startup lawyer can:
- Prevent potential adverse legal consequences of bad contracts
- Protect the business interests
- Give the company a competitive advantage by negotiating ideal terms for the business
Ultimately, investing upfront in legal review can save a business from headaches and potential legal battles in the future. (We’ll explore other advantages of hiring a startup lawyer later in this post)
So, the next time you’re about to sign a contract, ask yourself: is it worth the risk to your business to go it alone? Or would you rather have the peace of mind that comes with knowing a professional has reviewed and approved the terms on your behalf?
The choice is yours, but we encourage the latter. After all, your business is worth it!
Reasons For Not Hiring a Startup Lawyer
Perhaps you’re still telling yourself why you can’t or won’t hire a startup lawyer. So let’s dig deeper into this notion and cut up the justifications and reasons you keep telling yourself for not hiring a lawyer.
“Our startup has limited resources.”
Startup companies often have limited resources, including a lack of funding, limited staff (including human resources), and time restraints—this is no surprise.
But unfortunately, this lack of resources tends to be the primary reason they don’t engage legal help. However, hiring a lawyer and using even a fraction of your budget on this can help reduce long-term legal expenses and minimize the risk of exposure to liability and lawsuits.
An investment in legal help upfront can yield significant savings down the line. In addition, some lawyers offer flexible payment options. Then, you don’t have to worry about making an expensive one-time payment.
“A startup lawyer won’t understand my business.”
We also hear this excuse from some startup founders. But with the right lawyer, you’ll find one who is knowledgeable about your industry and can quickly understand the nature of your business.
Remember: A lawyer’s expertise in legal matters can help the business avoid potential pitfalls and protect it from risks.
Having a lawyer on board from the beginning can be an asset for the business and amplify its success. By building a solid relationship from the start, both parties can work together to achieve the company’s goals and pave the way for future success.
“I don’t have time to find legal help.”
If you could choose, would you wait until after suffering a heart attack before going to a doctor, or would you proactively visit a doctor to prevent the heart attack from occurring in the first place?
The answer is pretty clear when you look at it that way.
Consider this: Legal assistance is critical to running a successful business, and preventative law is integral to business success.
Planning is crucial, and businesses that don’t plan will eventually have legal disputes. In fact, even companies that do have a plan can have conflicts. Either way, these can be managed better if you take the time to hire a lawyer and ensure that your legal documents are up to date with the law.
Lawyers can provide vital assistance in almost every aspect of a business, and it is better to include them from the beginning to prevent legal disputes. Much like going to the doctor for an annual checkup, meeting with a lawyer routinely ensures your business stays healthy.
What a Startup Lawyer Can Do for Your Business
As promised, we’ll turn our attention back to why hiring a startup lawyer is wise. Here are just some of the ways an experienced startup lawyer can help your business:
- Provide advice and counsel on legal matters such as contracts, employment law, intellectual property, tax law, and more.
- Assist in drafting and reviewing contracts to ensure they are legally enforceable and protect your company’s interests.
- Negotiate the sale or purchase of a business.
- Represent your business in court or other legal proceedings to protect its rights and achieve the best outcome in a legal dispute.
- Help protect your intellectual property by filing necessary applications and representing your business.
A Startup Lawyer is an Essential Part of Your Business
Think of hiring a startup lawyer like having electricity or plumbing at your office: You probably don’t give it much thought until something goes wrong and you need to fix a problem. But just like having electricity or plumbing, investing in legal help is critical to running a successful business.
So why wait for an issue to arise before you start thinking about getting help? Instead, invest in the proper protection from the start.
With the right lawyer by your side, you can be confident you’re running a safe and compliant business. So take the time to find the right startup lawyer for your business. You can get advice on legal matters quickly and easily, protect yourself from potential lawsuits, and focus on what’s important: growing your business.
And remember: My book “Don’t Skip the Legal: The Startup Guide for Entrepreneurs and Business Owners” covers these and other legal topics relating to startups in greater detail. It’s available on Amazon—buy your copy today!